Tesla (NASDAQ: TSLA) shares initially shrugged off a weak earnings report before the stock got caught in the trade-war sell-off. The electric vehicle (EV) maker had a tough year in 2024, although Chief Executive Officer Elon Musk continues to be very upbeat about the future.

Tesla’s latest earnings report reveals a rare sales decline and stock dip, as CEO Elon Musk’s escalating controversies and political entanglements raise questions about the brand’s long-term consumer trust and market position.

Musk, who also runs SpaceX and a number of other companies, has been known to make big often exaggerated promises. For example, he once called the Hyperloop, which was never built, the "fifth mode of transport" and famously promised to take Tesla private in a Twitter post, saying he had secured financing that he didn't have.

In the early days of Tesla, Musk had an almost unquestioning following, but his EVs are now being bought in huge numbers by people all over the world who just want a good car, and don’t necessarily want to be seen to endorse the choices made by its owner, especially with him being so close to Trump.

Though Tesla’s shares doubled over the past 12 months, they’ve had a tough run since the inauguration. Investors are waiting to see if Elon Musk can keep the company’s charmed run going.

Elon Musk's $250 billion net worth is largely tied up in Tesla stock and private holdings like Twitter and SpaceX, making him asset-rich but cash-poor like most ultra-wealthy individuals. While most billionaires concentrate wealth in a single venture,

Musk's net worth to drop from about $433B to $401.8B Tesla's stock dropped by as much as 5.2% this week Trump's new tariffs are factors in the drop Tech billionaire Elon Musk’s net worth has declined following the Trump administration’s attempts at imposing new tariffs.